Coal India Limited reported strong Q2 FY27 results for the quarter ended 30 September 2026, with consolidated revenue rising 20.9% year-on-year (YoY) to ₹44,178.74 crore and net profit attributable to shareholders increasing 53% to ₹6,516.09 crore. Higher coal despatches, improved realisations and better operating profitability supported the growth.
The Coal India Q2 FY27 Results also included a second interim dividend of ₹10.25 per share. However, revenue and EBITDA declined sequentially, while production growth remained below despatch growth.
This Coal India Q2 FY27 Results Analysis examines the company's financial performance, coal production and supplies, dividend, capital expenditure, FY27 targets and key risks investors should monitor.
Table of Contents
- Coal India Q2 FY27 Results: Key Highlights
- Coal India Q2 FY27 Financial Performance
- What Drove Coal India's Q2 FY27 Earnings?
- Coal India Q2 FY27 vs Q1 FY27
- Coal India H1 FY27 Results
- Coal India Dividend 2026: Record Date and Payment
- Coal India H1 FY27 Capital Expenditure
- Coal India FY27 Production Targets and Outlook
- Key Risks and What Investors Should Monitor
- Coal India Q2 FY27 Results: Investor Takeaway
Coal India's September-quarter performance reflected strong year-on-year growth in revenue, profit and operating earnings.
Higher coal supplies and improved realisations supported the financial results, while the company continued investing in mining infrastructure and diversification projects.
The major highlights of the Coal India Q2 Results are:
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Revenue growth: Consolidated revenue increased 20.9% YoY to ₹44,178.74 crore.
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Net profit growth: Profit attributable to shareholders rose 53% to ₹6,516.09 crore.
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EBITDA growth: EBITDA increased 28.9% to ₹8,499 crore.
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Coal despatches: Total supplies increased 12.04% to 186.04 million tonnes (MT).
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Coal production: Production rose 3.81% to 151.37 MT.
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Interim dividend: Coal India declared a second interim dividend of ₹10.25 per share.
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Capital expenditure: H1 FY27 capex increased 27% to ₹7,966 crore.
Despite these improvements, Q2 profitability was weaker than Q1 FY27, making sequential performance and second-half production recovery important considerations for investors.
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Want to evaluate Coal India's stock performance after its Q2 FY27 results? Review the Coal India share price, historical price charts and important financial indicators.
Coal India's Q2 FY27 financial results showed that revenue growth was accompanied by stronger profit growth.
Consolidated revenue increased nearly 21%, while profit attributable to shareholders grew 53%. EBITDA also improved, although operating earnings remained below some market expectations.
Coal India Q2 FY27 vs Q2 FY26 Financial Results
The following tables compare Coal India's financial performance during the September 2026 quarter with the corresponding quarter of the previous financial year.
Coal India Q2 FY27 Financial Results
| Financial Metric |
Q2 FY27 and YoY Growth |
| Revenue from operations |
₹44,178.74 Cr (+20.9% YoY) |
| PAT attributable to owners |
₹6,516.09 Cr (+53.0% YoY) |
| Consolidated PAT including minority interest |
₹6,547.43 Cr (+57.1% YoY) |
| EBITDA |
₹8,499 Cr (+28.9% YoY) |
| EBITDA margin |
19.2% (+1.2 percentage points YoY) |
Coal India Q2 FY26 Financial Results
| Financial Metric |
Q2 FY26 |
| Revenue from operations |
₹36,553.07 Cr |
| PAT attributable to owners |
₹4,258.82 Cr |
| Consolidated PAT including minority interest |
₹4,167.14 Cr |
| EBITDA |
₹6,593 Cr |
| EBITDA margin |
18.0% |
EBITDA figures are computed from the reported operating results.
The year-on-year changes were:
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Revenue increased by 20.9%.
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PAT attributable to shareholders increased by 53.0%.
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Consolidated PAT including minority interest increased by 57.1%.
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EBITDA increased by 28.9%.
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EBITDA margin improved by approximately 1.2 percentage points.
These figures indicate that Coal India generated stronger operating earnings from its higher revenue base.
However, the improvement in year-on-year margins should be assessed alongside the decline in profitability compared with the preceding quarter.
Coal India Q2 FY27 Net Profit: Why Are Two Profit Figures Reported?
Coal India reported two consolidated profit figures for Q2 FY27:
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₹6,516.09 crore: Profit attributable to Coal India's shareholders, up 53% YoY.
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₹6,547.43 crore: Total consolidated profit, including minority interests, up 57.1% YoY.
The distinction is important because the two figures represent different measures of consolidated profitability.
Profit attributable to owners represents the portion belonging to Coal India's shareholders. Total consolidated profit also incorporates the share attributable to non-controlling interests.
Therefore, both the 53% and 57.1% profit-growth figures are valid when compared against their respective previous-year bases.
For investors evaluating shareholder earnings, the attributable profit of ₹6,516.09 crore is the more directly relevant measure.
The Coal India Q2 Earnings FY27 performance was primarily supported by higher coal despatches, better realisations and operating leverage.
However, the underlying operational data shows that supply growth was significantly stronger than production growth.
1. Coal Despatches Increased 12% While Production Rose 3.8%
Coal India's Q2 FY27 operating performance was driven mainly by higher coal supplies rather than an equivalent expansion in production.
The company supplied 186.04 MT of coal during the quarter, compared with 166.05 MT in Q2 FY26.
Coal production increased more modestly to 151.37 MT from 145.82 MT.
|
Operational Metric
|
Q2 FY27
|
Q2 FY26
|
|
Total coal despatches
|
186.04 MT
|
166.05 MT
|
|
Coal production
|
151.37 MT
|
145.82 MT
|
|
Despatch growth
|
12.04%
|
-
|
|
Production growth
|
3.81%
|
-
|
Supplies to the power sector increased 11% to 148.20 MT during Q2 FY27.
This indicates that Coal India was able to meet higher customer demand despite relatively modest production growth.
However, the difference between production and despatches also meant the company relied on existing inventories.
During April–September FY27, Coal India liquidated approximately 63 MT of pithead coal stocks.
Inventory liquidation helped the company maintain higher supplies and support revenue growth.
For investors, the key issue is sustainability. Strong despatches improve sales and cash generation, but continued reliance on inventories would require Coal India to replenish stocks through higher production.
2. Revenue Growth Was Higher Than Volume Growth
Coal India's consolidated revenue increased 20.9%, while total coal supplies grew 12.04%.
This difference suggests that improvements in blended coal realisations or the sales mix contributed to revenue growth beyond the increase in volumes.
Two important factors affecting realisations are:
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E-auction sales: Coal sold through auctions can generate higher realisations than coal supplied under regular contractual arrangements.
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Sales mix: Changes in the proportion of coal sold through different channels and premium coal categories can influence average selling prices.
The financial and operational data indicate improved overall revenue generation from the higher despatch volume.
However, the available figures do not separately quantify the contribution from e-auction premiums, contractual coal prices and sales mix.
Investors should therefore monitor whether these realisation improvements are maintained in subsequent quarters.
3. Profit Growth Benefited From a Lower Base
Coal India's 53% increase in attributable profit also reflects the comparatively lower profit recorded in Q2 FY26.
Profit attributable to shareholders increased from ₹4,258.82 crore to ₹6,516.09 crore, representing an absolute increase of approximately ₹2,257 crore.
EBITDA increased from ₹6,593 crore to ₹8,499 crore, an improvement of approximately ₹1,906 crore.
The EBITDA margin expanded from 18.0% to 19.2%, suggesting stronger operating profitability compared with the year-ago quarter.
However, analysts had expected higher operating earnings and margins.
Consequently, the Coal India Q2 FY27 Report presents a mixed picture: stronger year-on-year profitability but operating performance below some market estimates.
Although Coal India's September-quarter earnings improved significantly year-on-year, the sequential comparison shows a decline in both revenue and profitability.
Q2 FY27 revenue fell approximately 4.5% from Q1 FY27, while EBITDA declined nearly 29.6%.
Coal India Sequential Financial Performance
The following table compares the September quarter with the immediately preceding June 2026 quarter.
Q1 FY27 Financial Performance
|
Financial Metric
|
Q1 FY27
|
|
Consolidated revenue
|
₹46,255 Cr
|
|
EBITDA
|
₹12,069 Cr
|
|
Consolidated PAT including minority interest
|
₹8,850 Cr
|
Q2 FY27 Financial Performance
|
Financial Metric
|
Q2 FY27
|
|
Consolidated revenue
|
₹44,179 Cr
|
|
EBITDA
|
₹8,499 Cr
|
|
Consolidated PAT including minority interest
|
₹6,547 Cr
|
The sequential changes were:
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Revenue declined approximately 4.5%.
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EBITDA declined approximately 29.6%.
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Consolidated PAT, including minority interest, declined approximately 26%.
The substantially larger decline in EBITDA compared with revenue indicates that operating profitability weakened sequentially.
Why Did Coal India's Q2 Profit Decline Sequentially?
Seasonal factors are relevant when comparing Coal India's June and September quarters.
The first quarter typically benefits from higher summer power demand and stronger e-auction realisations.
In comparison, the September quarter coincides with the monsoon, which can constrain coal mining and evacuation activities.
These seasonal factors can affect production efficiency, volumes and operating profitability.
However, seasonality does not eliminate the importance of the sequential decline.
For investors, the weaker Q2 performance highlights why annualising the stronger Q1 earnings could overstate full-year profitability.
A more balanced assessment requires examining the company's performance across the first half of FY27.
Coal India's half-year financial performance provides a broader picture of its earnings growth during FY27.
For April–September 2026, the company reported consolidated revenue of approximately ₹90,434 crore, calculated from the first two quarters.
Net profit attributable to shareholders increased approximately 18% year-on-year.
Coal India H1 FY27 Financial Highlights
|
Metric
|
H1 FY27
|
|
Consolidated revenue
|
₹90,434 Cr
|
|
PAT attributable to owners
|
₹15,368 Cr
|
|
H1 FY26 PAT attributable to owners
|
₹13,056 Cr
|
|
PAT growth
|
Approximately 18%
|
The H1 FY27 profit of ₹15,368 crore represents an improvement of approximately ₹2,312 crore over the corresponding period of FY26.
This indicates that Coal India maintained positive earnings growth across the first six months despite the sequential moderation in Q2.
However, the quarterly performance shows that revenue and operating profitability were stronger in Q1 than in Q2.
For investors evaluating earnings sustainability, the H1 results provide a more representative view than the June-quarter performance alone.
Coal India's board declared its second interim dividend for FY27 alongside the September-quarter financial results.
The dividend of ₹10.25 per equity share represents 102.5% of the share's face value of ₹10.
The company has fixed 4 November 2026 as the record date and announced that the dividend will be paid on or before 27 November 2026.
Coal India Second Interim Dividend Details
The following table summarises the dividend announcement and important dates for shareholders.
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Dividend Detail
|
Information
|
|
Dividend type
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Second interim dividend, FY27
|
|
Dividend per share
|
₹10.25
|
|
Face value per share
|
₹10
|
|
Dividend as % of face value
|
102.5%
|
|
Record date
|
4 November 2026, Wednesday
|
|
Payment date
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On or before 27 November 2026
|
Who Is Eligible for Coal India's Dividend?
Shareholders must hold eligible shares as of the record date to receive the interim dividend.
Under India's T+1 settlement system, shares purchased on the record date itself generally do not qualify for that dividend because settlement occurs on the following trading day.
Investors should also consider the following:
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Dividend income is taxable in shareholders' hands under applicable Indian tax rules.
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The announced 102.5% represents the dividend relative to face value, not the dividend yield based on the market price.
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The second interim payout indicates Coal India's continued willingness to distribute surplus cash to shareholders.
For existing shareholders, the interim dividend provides a direct cash distribution.
However, future dividend sustainability will depend on earnings, cash generation, capital expenditure and the company's capital-allocation priorities.
Coal India continued investing in mining infrastructure, equipment, land acquisition and diversification during the first half of FY27.
Capital expenditure increased 27% year-on-year to ₹7,966 crore during April–September 2026, compared with ₹6,283 crore in H1 FY26.
The company achieved 109% of its first-half capital expenditure target.
It also completed more than 48% of its full-year capex target of ₹16,500 crore.
Coal India H1 FY27 Capex Breakdown
The following table highlights the major areas of capital expenditure during the first six months of FY27.
|
Investment Area
|
H1 FY27 Expenditure
|
|
Mine infrastructure
|
₹2,152 Cr
|
|
Land acquisition
|
₹2,033 Cr
|
|
Plant and machinery
|
₹1,394 Cr
|
|
Diversification projects
|
Over ₹739 Cr
|
The table covers major expenditure categories and does not represent the entire capital expenditure.
1. Mine Infrastructure and Coal Evacuation
Coal India invested ₹2,152 crore in mine infrastructure, including railway sidings, coal-handling plants, silos and weighbridges.
These investments are intended to strengthen the company's ability to handle and transport coal from mining locations.
For investors, evacuation infrastructure is important because higher coal production can translate into higher sales only when the company can efficiently move coal to customers.
2. Land Acquisition and Mining Capacity
Land acquisition accounted for ₹2,033 crore of H1 FY27 capital expenditure.
Land availability is essential for developing mines and expanding existing mining operations.
However, the contribution of these investments to future production will depend on mine development, rehabilitation requirements and project execution.
3. Plant, Machinery and Mining Equipment
Coal India spent ₹1,394 crore on plant and machinery.
This included ₹452 crore for heavy earth-moving machinery.
Such equipment supports mining activities, including excavation and the removal of material covering coal deposits.
These investments are relevant to improving production capacity and operational efficiency.
However, their financial benefits depend on equipment utilisation and the company's ability to achieve its production targets.
4. Diversification Beyond Coal Mining
Coal India invested more than ₹739 crore in diversification initiatives during H1 FY27.
These investments included:
- Solar energy projects.
- Critical minerals.
- Coal gasification.
- Thermal power projects.
The diversification strategy is important because Coal India's core business remains exposed to long-term changes in energy demand and policy priorities.
However, these investments also require capital, and their future contribution to profitability will depend on project execution and commercial performance.
Coal India has been assigned a coal production target of 815 MT and a supply target of 850 MT for FY27.
The company expects mining and supply activities to improve following the end of the monsoon.
Its September 2026 operational performance provides some indication of improving momentum.
Coal India September 2026 Operational Performance
Coal India reported stronger production and coal supplies during September compared with the corresponding month of the previous year.
|
Operational Metric
|
September 2026
|
|
Coal supplies
|
61.20 MT
|
|
Supply growth YoY
|
12.5%
|
|
Coal production
|
53.50 MT
|
|
Production growth YoY
|
9.18%
|
Industry News - Business Standard
September's production growth of 9.18% was stronger than the 3.81% growth recorded for the entire second quarter.
This is a positive operational development, although one month's improvement does not establish that the full-year production target will be achieved.
What Investors Should Track in H2 FY27
The second half of FY27 will be important in assessing whether Coal India can maintain higher sales while improving its production performance.
The key factors to monitor are:
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Production recovery: Whether coal output accelerates sufficiently to support progress towards the 815 MT annual production target.
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Power-sector demand: Changes in thermal-power demand and coal inventories at power plants.
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E-auction realisations: Whether auction premiums and non-regulated sector demand continue supporting revenue growth.
-
Employee and mining costs: The impact of wage-settlement provisions, contractual expenses and operating costs on EBITDA margins.
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Capital expenditure execution: Progress in mine development, land acquisition, evacuation infrastructure and diversification projects.
The most important operational question is whether Coal India can narrow the gap between production growth and despatch growth without rebuilding excessive pithead inventories.
Despite stronger year-on-year financial results, Coal India remains exposed to demand concentration, coal realisation volatility, cost pressures and capital expenditure execution risks.
These factors could influence revenue growth, operating margins and future cash generation.
The following table summarises the major risks for investors.
|
Risk Area
|
What Investors Should Monitor
|
|
Power-sector dependence
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Thermal-power demand, coal consumption and power-plant inventories
|
|
Realisation volatility
|
E-auction premiums, industrial demand and sales mix
|
|
Operating costs
|
Employee expenses, diesel, explosives, contracts and overburden removal
|
|
Project execution
|
Land acquisition, rehabilitation, railway connectivity and mine development
|
|
Policy and energy transition
|
Government policy, coal demand and diversification project returns
|
1. Dependence on Power-Sector Demand
Power utilities remain Coal India's dominant customer group.
Supplies to the power sector increased 11% to 148.20 MT during Q2 FY27, supporting overall despatch growth.
However, slower thermal-power demand or an increasing contribution from alternative energy sources could affect coal volumes and pricing power.
2. E-Auction Premium and Realisation Risk
Revenue growth exceeded coal despatch growth during Q2 FY27, indicating the importance of realisations and sales mix.
However, e-auction premiums can decline when domestic coal availability improves or industrial demand weakens.
Lower realisations could affect revenue and profitability even if coal supply volumes remain healthy.
3. Employee and Mining Cost Pressure
Coal mining involves significant employee, equipment, contractual and operating expenses.
Higher diesel prices, explosives costs, overburden-removal expenditure and wage-related provisions could increase the cost of production.
Consequently, stronger coal despatches may not always translate into proportionate EBITDA growth.
This risk is particularly relevant given the sequential decline in operating profitability during Q2 FY27.
4. Mine Development and Infrastructure Execution
Coal India's production expansion depends on land availability, mining infrastructure and transportation capacity.
Delays involving land acquisition, rehabilitation, railway connectivity or mine development could constrain production growth.
Although H1 FY27 capex increased significantly, the benefits will depend on the timely completion and utilisation of these investments.
5. Government Policy and Energy Transition
As a government-owned coal producer, Coal India's business strategy, pricing decisions and dividend distributions can be influenced by public-policy priorities.
The company also faces longer-term uncertainty from changes in the energy mix.
Investments in solar energy, critical minerals, coal gasification and thermal power are intended to diversify its operations.
However, these projects introduce additional execution and capital-allocation considerations.
Coal India delivered strong year-on-year financial performance in Q2 FY27, with revenue increasing 20.9%, attributable net profit rising 53% and EBITDA growing 28.9%.
Higher coal despatches, improved realisations and operating leverage supported the results. The ₹10.25 interim dividend and continued investment in mining infrastructure were additional developments for shareholders.
However, the quarter also highlighted three important concerns. EBITDA declined approximately 29.6% sequentially, coal production growth remained significantly below despatch growth, and operating profitability fell short of some market expectations.
For existing shareholders, the dividend and improved year-on-year earnings are positive developments. For investors assessing Coal India's future performance, the key factors will be H2 FY27 production growth, coal realisations, operating margins and returns from capital expenditure.
The sustainability of earnings will depend on whether Coal India can increase production, maintain healthy despatches and manage costs without excessive reliance on inventory liquidation.
Want to understand the earnings trend behind Coal India's Q2 performance? Read the Coal India Q1 FY27 Results Analysis to review the previous quarter's revenue growth, profitability and dividend announcement.
Frequently Asked Questions
1. What is Coal India's Q2 FY27 net profit?
Coal India's Q2 FY27 net profit attributable to shareholders increased 53% year-on-year to ₹6,516.09 crore from ₹4,258.82 crore in Q2 FY26. Total consolidated net profit, including minority interest, increased 57.1% to ₹6,547.43 crore.
2. How much revenue and EBITDA did Coal India report in Q2 FY27?
Coal India reported consolidated revenue of ₹44,178.74 crore in Q2 FY27, representing 20.9% year-on-year growth. EBITDA increased 28.9% to approximately ₹8,499 crore, while the EBITDA margin improved to 19.2% from 18.0% in Q2 FY26.
3. What is Coal India's dividend for FY27, and when is the record date?
Coal India declared its second interim dividend of ₹10.25 per equity share for FY27. The record date is 4 November 2026, and the dividend will be paid on or before 27 November 2026. The payout represents 102.5% of the share's ₹10 face value.
4. Why did Coal India's coal despatches grow faster than production in Q2 FY27?
Coal India's coal despatches increased 12.04% to 186.04 MT in Q2 FY27, while production rose 3.81% to 151.37 MT. The company used existing pithead inventories to support higher supplies, liquidating approximately 63 MT of coal stock during H1 FY27.
5. What should investors monitor after Coal India Q2 Results 2027?
Following Coal India's Q2 FY27 results, investors should monitor progress towards the annual production target of 815 MT and supply target of 850 MT. Other important factors include power-sector demand, e-auction premiums, employee costs, EBITDA margins and execution of the ₹16,500 crore annual capital expenditure programme.